ENERGY RESEARCH CORPORATION
COMPUTATION OF INCOME (LOSS) PER COMMON SHARE
Three Months Six Months
Ended April 30, Ended April 30,
1997 1996 1997 1996
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PRIMARY
Shares outstanding,
beginning of period 3,921,124 3,758,573 3,911,787 3,728,914
Weighted average number of
shares issued, retired and
issuable share equivalents 290,101 320,985 295,372 305,626
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Weighted average number of
common and common equivalent
shares outstanding 4,211,225 4,079,558 4,207,159 4,034,540
========= ========= ========= =========
Net income $ 76,000 $ 124,000 $ 151,000 $ 185,000
========= ========= ========= =========
Net income per common share $ .02 $ .03 $ .04 $ .05
========= ========= ========= =========
FULLY DILUTED
Weighted average number of
common and common equivalent
sharesoutstanding as
adjusted for full dilution 4,281,225 4,275,558 4,277,159 4,230,540
Adjustment for interest,
net of tax, on convertible
long-term debt $ 6,000 $ 19,000 $ 12,000 $ 38,000
========= ========= ========= =========
Adjusted net income $ 82,000 $ 143,000 $ 163,000 $ 223,000
========= ========= ========= =========
Net income per
common share <F1> $ .02 $ .03 $ .04 $ .05
========= ========= ========= =========
<FN>
<F1> These calculations are submitted in accordance with SEC requirements,
although they are not in accordance with APB Opinion No. 15 because they are
anti-dilutive.
</FN>